Which of the following ratios gives information on the amount of profits reinvested in the firm over the years?
A) Sales/total assets
B) Debt/total assets
C) Debt/equity
D) Retained earnings/total assets

Question

Quizplus · Accepted Answer

The retained earnings/total assets ratio indicates the proportion of profits that have been reinvested in the firm rather than distributed as dividends.

Which of the Following Ratios Gives Information on the Amount